MonaCoin, also called MONA for short, is the most widespread crypto currency in Japan. It is not a national crypto currency, but it is still incredibly popular in a country that is far more open to crypto currencies than many Western nations. The MonaCoin Coin is a simple and fast digital means of payment.
The crypto currency once emerged from a litecoin fork. A fork is the splitting off of a side blockchain from a main blockchain. Thus the side chain retains numerous functions of the main chain, but can also be easily changed. Litecoin was once developed to offer even faster transactions than Bitcoin. The MonaCoin Coin is even faster: The block time is 1.5 minutes.
In its function, however, it can best be compared to the DogeCoin: the coin can be used in social media to send someone a small donation, for example if they have published an article that people like. MONA can also be sent for online games. The story of MonaCoin development is also similar to that of DogeCoin, because both started as a harmless joke. Just like the coin with the Internetmeme, the MONA Coin became a serious and widely used digital means of payment. Coins are accepted in many Japanese online stores, but also increasingly more in standard shops in the island state.
Transactions with the crypto currency can be carried out either privately or publicly. As a hash algorithm for encrypting transactions, the MonaCoin crypto currency uses the highly developed Scrypt. The coin can also be mines. It uses the proof-of-work algorithm to verify transactions and add new blocks to the block chain. Since the block time is only 1.5 minutes, new blocks are generated very quickly. As a reward, 25 MONA coins are distributed to the miners. In mining, the miners make the computing power of their computers available so that they can perform the complicated and energy-consuming algorithms for validating the transactions.
MonaCoin – Who is behind the crypto currency?
The development began on the 2channel website, which could also be described as a Japanese Reddit. It is one of the most popular websites in the country. The developer was on the forum under the pseudonym Mr. Watanabe. You can’t find out more about him or the team that might be behind the crypto currency. After your posts during the release, the coin should be considered as a game where you try to find the hash. The crypto currency was not preminded or largely advertised with an initial coin offering. It seemed that she was more of a joke to Mr Watanabe.
This did not stop the Japanese from making active use of the coin. Although MonaCoin should never really become the „Japanese crypto currency“, Bitcoin and other crypto currencies from the West had a rather difficult situation due to the language barrier. The „Galapagos effect“ had the island state firmly in its hands. Even if many Japanese were interested in crypto currencies, the mostly English-language websites posed an obstacle. After all, it was Keiichi Hida who made the MONA Coin so popular. Hida himself is a crypto-fanatic and lobbyist at Rising Bitcoin Japan, based in Tokyo. For him it was important that people have something to refer to. Together with friends, he founded the MonaCoin Foundation, a foundation that promoted the spread of the crypto currency.
Hida told CoinDesk that it is important to have something people can relate to:
„Some early users of crypto currencies recognized it early on. But almost all Monacoin information is on Japanese websites and in Japanese. So Monacoin was more accepted by other Japanese.“